Fletcher Building sells Cory's Electrical
Fletcher Building has entered into a conditional deal to sell its New Zealand electrical products distribution business Cory's Electrical for $20 million to Paris-based Sonepar SA.
Sonepar SA is an independent, French family-owned company which sells electrical products. It employs 33,000 associates at 160 entities in 35 countries, with revenues in excess of €15 billion (NZ$23.5b).
Fletcher bought Cory's Electrical as part of the Crane Group acquisition in 2011.
Cory's head office is in Christchurch and it has stores throughout the country. It distributes brands including Olex, Scheider, Electrical Supply Corp and General Cable.
Completion of the sale will mean that Fletcher Building has realised almost $90 million through the sale of Cory's Electrical and two of Crane's metals distribution businesses, the sales of which were announced in early July.
Fletcher identified these businesses as non-core following a review of the Crane division.
The completion of the Cory's sale may take up to four months.
Fletcher spokesman Stephen Smith declined to comment on what conditions the sale was subject to or whether any other businesses were for sale.
Fletcher's chief executive Jonathan Ling will leave the company on September 28th and will be replaced by Mark Adamson.